Honourable Speaker
Premier Rasool
Cabinet Colleagues
Honourable Members of the Legislature
Friends and Guests
Comrades

To paraphrase then Deputy President Thabo Mbeki: Today it feels good to be a South African!

Mr Elias Nel, a member of my staff who works in our mechanical workshop, invited us in a recital of his poem "'n Ode vir ons tien jaar Demokrasie" during a function for our staff and said:

Kom Almal
Kom ons dans
'n Vreugdedans
- die !xthaberra soos die KhoiSan van weleer
- die pantsula soos in township se strate
- die sakkie-sakkie en balke toe op konsertina maat
- die goema-goema soos voorheen en ook nou
- ja, ook die Madiba jive!
Kom ons dans dit
Tien maal oor en oor
En vier ons tien jaar oue demokrasie
Vir ons eie heil
Vir ons vryheid
Vir ons vrede
Vir ons voorspoed

It is not only the celebration of ten years of democracy, which makes me feel good to be South African, and makes me want to dance as invited by Elias Nel. It is also the fact that:

• On April 14, 2004, our people voted in their numbers in support of the People's Contract, and ensured that for the first time in the history of our young democracy, the Western Cape province and KwaZulu-Natal finally joined the community of Provinces with ANC-led Governments.

• On May 14, 2004, South Africa was awarded the rights to host the 2010 Soccer World Cup, the first time in the history of the World Cup that an African country gets to host it. The potential economic benefits to the country as a whole are immense.

• The Olympic Flame, a flame to unite nations, touched down in our beautiful City of Cape Town. Communities from KwaLanga, Gugulethu, Delft, Athlone and throughout the City, the Province and the Nation rejoiced. Robben Island was touched, and even the Mountain rejoiced.

It is all of these that make me want to join Elias Nel and dance. Dancing gives our bodies strength. It sharpens our minds and fills our souls with joy and laughter, all of which we need in abundance if we are to deliver on the "People's Contract", and make the second decade of our democracy even more successful than the first one. The People's Contract commits us to:

Honorable Speaker,

The Provincial Government of the Western Cape, together with its social partners, is well poised to deliver on these commitments through its Provincial Growth and Development Strategy of Ikapa Elihlumayo. Within Ikapa Elihlumayo, my Department has been charged with two key responsibilities.

The first one is to develop a Strategic Infrastructure Plan to inform long-term investment by the Government in infrastructure to stimulate and support social and economic development in the Province. A robust and vibrant economy is what will determine our success in the fight against poverty, and the creation of sustainable, long-term jobs.

This Strategic Infrastructure Plan will also be used to:

• Create opportunities for improved collaboration between government agencies on future infrastructure planning, in order to eliminate duplication and promote co-operative governance.

• Create a basis for constructive dialogue between the Government and the private sector on opportunities for public-private-partnerships and options for crowding-in private sector investment.

• Promote the alignment of priorities and budgets of public sector agencies to create economies of scale.

We shall be setting up an Advisory Committee to help with the development of this plan and to ensure that we accelerate the roll out of infrastructure to meet the stated objectives during this MTEF.

Through the delivery of infrastructure, we will continue our efforts to address the legacy of the past, which created segregated communities, and structural inequities in a dual economy, and seek to effect a fundamental transformation of our society. We will also continue addressing the different kinds of poverty suffered by the disadvantaged in our communities: poverty of income, poverty of access, and poverty of quality of life.

The second responsibility with which my Department has been charged in the Ikapa Elihlumayo strategy is the delivery and co-ordination of the Expanded Public Works Program for the Province (EPWP). The EPWP will seek to create short-term work opportunities for people who are unemployed, and enable them to undergo training to develop skills, which will make them more marketable in the mainstream economy. In this way the EPWP will contribute to the fight against poverty and unemployment, keep the hope alive and restore people's dignity. It will also contribute to the formation of social capital in our communities.

Honorable Speaker,

I am pleased to report to the House that although the Strategic Infrastructure Plan and the EPWP will only be formally launched in the course of this Financial Year, we have started applying some of the principles, which underpin both in our planning. This is reflected in our Strategic Plan for this year, the 2004 Budget and the current Medium Term Expenditure Framework (MTEF) Budget allocation.

My Department's total budget for this Financial Year is R1.71 billion, which represents an increase of 11% in comparison to last year's budget. The total budget for infrastructure has increased from an expenditure of R1.08 billion in 2003/04 to R1.25 billion in this Financial Year, an increase of 16%. Over the MTEF my Department's budget increases by R700 million or 45%. The Government has given us a responsibility to deliver essential social and economic infrastructure for development in the Province and is backing up its commitment with demonstrable increases in infrastructure investment.

Last year my predecessor indicated to this House that the focus of the Department was going to be on four key priorities, which it was going to pursue as part of its broader objectives of social and economic transformation. These key priorities were:

• Public transport
• Job creation
• Black economic empowerment
• Road safety

This Financial Year we are continuing the focus on these priorities to consolidate gains already made. We will, however, also start spending more and more effort on freight logistics as part of a program to ensure that our businesses and industries are globally competitive.

Honorable Speaker and Members, the allocation made in this year's budget for Public Transport is R195.9 million, which is 48% increase on last year's allocation of R132.5 million. The bulk of this year's Public Transport budget will go toward funding the Klipfontein Corridor Project and projects in the Central Karoo and Eden District, which form part of the Mobility Strategy for the Province. The rest will be used to fund infrastructure for non-motorised transport, compilation of public transport plans and transformation of public transport operations and services.

Last year, my Department announced plans of groundbreaking initiative aimed at the transformation of public transport in the City of Cape Town. This initiative involves the establishment of an activity corridor from Khayelitsha to Gugulethu, Athlone, Mowbray and Cape Town to not only improve the quality of public transport which communities in the Cape Flats have, but also stimulate local economic development and investment in parts of the City, which are poor and disadvantaged. The Klipfontein Corridor Project, which my Department is undertaking in partnership with the City of Cape Town, is the First Phase of a number of bus and rail corridors which will be either established or reinforced as part of an integrated system to transform public transport in the City. With the Soccer World Cup coming to Emzantsi in 2010, our ability to transport people around the City reliably, efficiently and in comfort will be critical to us successfully hosting the Cup.

Honorable Members, I am very pleased to inform the House that work on the Klipfontein Corridor is proceeding at speed. The planning for Dignified Urban Spaces and Non-motorised transport peojects has been completed. Construction on the first of the Dignified Spaces projects, one located in Heideveld/Gugulethu commenced in March of this year. Projects in New Eisleben, Nyanga/Phillippi, Gatesville and Athlone will commence in July of this year. The first of the projects for non-motorised transport, the Khayelitsha shared bicycle and pedestrian facilities, is commencing this month with the training of people to be employed on the project. A local contractor has been awarded the contract. It is important, Honourable Members to note that all of these projects will be undertaken through labour-intensive methods to target unemployed people in communities in the Corridor. These projects will form part of our EPWP, with some of the learnerships set to start in July.

Detailed design of the bus-rapid-transit (BRT) part of the project will be completed in November this year, with construction expected to start before the end of the Financial Year. The total cost of the project is estimated at R450 million, and the project will be completed before the end of the 2005/06 Financial Year.

A number of sessions have already been conducted to inform key stakeholders in the Corridor about the project. Following the Public Transport Summit, which was held in May last year, briefing sessions have been held with representatives of the minibus-taxi industry, Chamber of Commerce, Academics, local Councillors and business and community leaders in the Corridor. I will be undertaking further consultation with members of the public and other stakeholders, not only to keep them informed of developments, but also to ensure that they get themselves prepared for roles they might be called upon to play in the project. Public participation is also built into the Environmental Impact Assessment process, which is programmed to commence in July this year.

I would like to take this opportunity to thank the Members of this House for the support they have given my Department on this particular project. I would also like to encourage everyone involved with this project to stay focused so that we can deliver this project on time. As we have already mentioned, we are breaking new ground with this project. Even the National Department has recognised this, and wants to make this project one of its pilot projects, so that other cities in the country can learn from what we are doing. World Cup 2010, here we come!

My Department announced last year that a rural mobility strategy project was to be investigated in the Central Karoo District. I am pleased to announce that the Conceptual plan for the mobility strategy for Beaufort West will be launched in July of this year.

I am also pleased to announce that a further initiative aimed at improving public transport in George will be launched in July this year. This initiative, which will be driven through a partnership between my Department, the Eden District Municipality and the George Municipality, will focus on establishing economic activity corridors linking the townships of Thembalethu and Pacaltsdorp with the central business district of George. R30 million has been budgeted for this initiative over a two year period.

These initiatives will bring substantial infrastructure delivery to communities that have been trapped in dormitory townships for far too long. I am positive that the development of infrastructure in these communities will unlock economic development in the Beaufort West, Tembalethu and Pacaltsdorp areas.

Honorable Speaker, a large section of the population in the City of Cape Town uses rail transport to commute between their homes and places of work. On a daily basis they face the risk of being mugged and assaulted, or being delayed and being late for work or getting home to their families. At peak periods, the trains are overcrowded. The lack of investment in infrastructure and rolling stock makes the system unsafe, inefficient and unreliable.

Within a period of a hundred days, I will be holding discussions with Metro Rail, the South African Commuter Corporation, and a cross-section of stakeholders in this mode of transport to find ways of making this mode safer, more efficient and more reliable. With bus corridors being developed as well, it will be important to also look at how rail and other modes of public transport are better integrated to improve the quality of service offered to commuters. Ways of encouraging economic development at and around interchanges will need to be discussed.

The result of these discussions will be shared with the National Minister with the objective of developing a plan of action. Other options to be discussed with the National Minister include the use of the Cape Town - Atlantis rail line for passenger services, and investigation of the feasibility of a coastal rail / light rail from Khayelitsha and Muizenberg.

n the meantime, however, I am pleased to announce that the planned expansion of the Safer Trains project to the Mitchell's Plain area is on course. The provision of CCTV cameras and neighbourhood watch volunteers on stations in the Khayelitsha area has had a very positive effect in bringing down the rate of crime around the stations and interchanges.

With the announcement by the South African Police Services on the re-introduction of the Railway Police on Trains during this year, I am positive that safety on our trains is set to improve more substantially.

My Department has worked closely with our provincial Department of Health to successfully relocate the specialist units from the Conradie hospital site in Pinelands to the new Western Cape Rehabilitation Centre in Lentegeur. By December of this year, major construction at the Lentegeur and Mandalay stations, undertaken jointly with SARCC, will be completed and both stations will, for the first time be accessible to passengers with special needs - including those in wheelchairs.

We will also investigate the feasibility of a project which subsidizes senior citizens to travel free on passenger trains once a month. These days may be increased progressively in the coming years depending on the availability of funds. The Minister of Social Welfare and Poverty Alleviation will also be approached to explore the possibility of incorporating this project as part of the safety net.

I am pleased to inform this House that my Department will host the first ever Minibus Taxi Awards ceremony on the evening of June 22, 2004 at the Cape Town International Convention Centre. This is the first of its kind in our country, and is our contribution in an endeavour to encourage professionalism, safety and efficiency in this sector. At this event, we will honour the best drivers of the year, best rank marshalls and best owners who have contributed towards the breaking of negative perceptions about the minibus taxi industry, through their own positive contributions to improved service to their customers and their industry.

I am also pleased to announce that a new Provincial Taxi Office has been established in Athlone, from where the Western Cape Provincial Taxi Council will operate. I look forward to opening this office in the first week in July.

My Department is in the process of appointing consultants to redesign the public transport services currently operated by Golden Arrow Bus Services. By November this year, the service design will be complete, paving the way for us to either put the services out to tender; or enter into negotiated contracts with select operators. It is my intention to see the minibus taxi industry have a substantial participation in the subsidized scheduled services. This participation will require capacity building in the industry. It will also have to form part of the transformation of industry from primarily focusing on minibus taxis, to dealing with all modes of public transport.

Since being appointed as Minister of Transport and Public Works, I have received numerous complaints about the delays in the issuing of operating licenses at Goulburn Center in Goodwood. I will be acting in earnest to remove bottlenecks at the Operating License Board, which cause these delays. We do not condone illegal operations, but we must play our part as government to make the process of application and granting of licenses more efficient and faster. My Department will facilitate the opening of satellite offices in the Southern Cape and the West Coast, so that operators in those areas who need licenses do not have to travel long distances from rural areas to Goodwood to acquire these licenses. In addition, my Department will set up a task force to fast-track the processing of license applications. The intention is that no operator will need to wait for a whole day in a long queue only to be asked to come back the next day.

Non-Motorised Transport, Quality of Life and Car-free Day

Honourable Speaker, Non-motorized transport is assuming an increasingly important role in strategies by my Department to address mobility needs and quality of life issues in our communities. This mode of transport is cheaper than motorised modes, which makes it a viable option for especially the disadvantaged in our communities, who are currently burdened with spending a high proportion of their monthly income on transport.

While there are also health benefits associated with the use of non-motorised transport, the lack of appropriate infrastructure for cyclists and pedestrians leaves them vulnerable when they share facilities with vehicular traffic. Figures from Arrive Alive for several years now have shown that pedestrians make up around 40% of fatalities on our roads. Cyclists are not any safer, as demonstrated by the number of incidents reported here in the City of Cape Town ahead of the Argus Cycle Tour earlier this year.

During May of this year, my Department hosted a workshop on Non-motorised transport, where officials from all three spheres of Government, together with the private sector and international experts from the Netherlands and Australia, debated aspects of what will form a Provincial strategy on Non-motorised transport. This strategy will be launched in the first half of August this year.

My Department has budgeted R55 million this year for non-motorised transport infrastructure projects around the Province. One such project is a cycle path between the Oudsthoorn Central Business District and the Cango Caves. I believe that this project will not only serve the local communities who rely mainly on walking and cycling for mobility, but will also unlock further economic and tourism potential for these communities as tourists have increasingly requested cycling tours to sites along this route. R5 million has been budgeted in this financial year to start this project, with a similar amount budgeted for next year. We will also team up with the Departments of Community Safety and Health to raise the level of awareness of the vulnerability of pedestrians and cyclists.

Last year my Department informed this House of the first ever Car Free Day to be held in South Africa. This event which was achieved by closing off the portion of Klipfontein Road from Red Cross Hospital to Gugulethu Cemetery to all vehicular traffic to allow communities along this road to celebrate the street as public space and give them an opportunity to integrate socially, was such a huge success that communities asked us to have another one. We duly obliged and had the second Car Free Day in February of this year. This one was an even bigger success. Premier Rasool and several of my colleagues in Cabinet had themselves a great time rediscovering their youth. They were, however, outdone by Mrs. Lena Chintu, a 72-year old grandmother from Khayelitsha, who was given her first opportunity to learn to cycle through the Women in Cycling initiative, which was inspired by the first Car Free Day. It was with sadness that we learnt of Lena's passing away on Saturday because of liver problems. Our prayers go to her family. She was an inspiration to us all.

The Car Free Day planned for October this year will be held in her honour.

Honorable Speaker, the budget for road Infrastructure for 2004/05 has increased nominally by 8,82% as compared to the revised estimate for 2003/04. However, over the MTEF period up to and including 2006/07, the budget increases by 82% as compared to the 2003/04 revised estimate, acknowledging the important role that road infrastructure plays in supporting economic growth.

The allocation of these fund and the method of implementation has taken and will take into account the technical and financial criteria dictated by the need to manage and maintain an existing road network but also understands the need for effecting the fundamental transformation of our society, building social capital and supporting economic growth, all elements of the Ikapa Elihlumayo agenda.

Included in the MTEF programme of major road construction projects are the Gansbaai-Bredasdorp and the Elandsbaai-Lambertsbaai projects which will upgrade the existing gravel roads to bitumen surfaced roads thereby eliminating the constraints for increased tourism, agriculture and fishing in those areas.

Also included in the MTEF programme is the rehabilitation of major regional links including the N7 between Piketberg, Citrusdal and Clanwilliam, the N1 and the N2 within the metropolitan area of City of Cape Town, and Trunk Road 2 between Somerset West and Sir Lowry's Pass. Tenders have also been received for the last 4 km of the M12 between George and Outeniqua Pass and the link between Paarl and the N1 and my department is currently in the process of evaluating them.

The 2004/05 budget allocation for road maintenance has increased by 24,47% over 2003/04, indicating the priority being placed on protecting this valuable asset. An added benefit from this allocation is the opportunity this creates for emerging contractor development. I also wish to take the opportunity to thank the staff located at our regional offices as well as the staff of the District Municipalities, our agents in road maintenance, for their continued support and hard work that all too often goes unnoticed.

It pleases me, Honorable Speaker, to inform the members of this House, that the Chapman's Peak Drive Project recently was the first ever South African project to win the prestigious Bentley Award in Orlando, Florida in front of a 37 000 strong delegations. The development of the 3-Dimensional Rockfall Hazard Protection Modeling for this project was entered into the most highly contested Civil Engineering category of the Awards. The project was also one of four finalist shortlisted by the National Science and Technology Forum in Category D of their awards. On behalf of the members of the House, I wish to extend my congratulations to the Department and members of the Project Team.

Regarding the operations of Chapman' s Peak Drive, it also pleases me to inform the house that to date the actual traffic volumes have exceeded the assumed volumes, thereby ensuring a positive cash flow at this early stage of the project. Regarding the construction of permanent toll plazas, we are still awaiting a Record of Decision from Department of Environmental Affairs & Tourism, but hope to have the permanent plazas in place before the December holiday season.

After successfully involving emerging Black Business in operational running of our nine weighbridge sites during the previous two financial years, the focus has now shifted to extending the hours of operation of these sites to further improve the effectiveness of our struggle against the destruction of our roads infrastructure by overloaded vehicles. Hours of operation have been increased to twenty-four hours per day at the Beaufort West weighbridge, and to sixteen hours per day at the remaining eight sites for this financial year.

My department further plans to increase the use of electronic surveillance equipment to enable us to identify overloaded vehicles and target them for weighing, at the same time reducing delays for those who obey the law. Together with the National Department of Transport an initiative to train specialist overload control prosecutors is far advanced. As far as infrastructure is concerned the department will spend a further R6 million rand in 2004/05 to improve facilities at the various weighbridge stations.

An amount of R452 million has been allocated for maintenance, upgrading and construction of schools, hospitals and other government owned facilities this financial year. This represents a decrease of about 11% over budgetary allocation of R508 million for the 2003/04 financial year for infrastructure projects. The allocation increases to R488 million for financial year 2005/06 and R546 million for financial year 2006/07. While this marginal increase in the budget allocation for social infrastructure may seem contradictory in the light of the ever-increasing backlog, this situation is designed to challenge my Department to extract more value from the substantial property portfolio we have under our control, as well as explore other creative funding options, like the public-private-partnerships.

Honourable Speaker, I am pleased to inform this House that my Department will deliver a number of key health facilities within the current MTEF in support of the Department of Health's Healthcare 2010. The first of these facilities is the Western Cape Rehabilitation Centre at Lentegeur, which will be completed in August this year. The official opening of this facility is scheduled for December this year. Other facilities, which are already under construction, include the George and Vredenburg Hospitals, which are due to be completed in 2005. The Worcester Hospital will be completed in 2006.

In the course of this year we will commence with the construction of the Paarl Hospital (R120 million), and the rehabilitation of the Mowbray Maternity Hospital (R20 million). Planning and design of four new District Hospitals in Khayelitsha, Mitchell's Plain, Victoria and Hottentots Holland, will be undertaken this year. I am pleased to also report to this House that my Department and the Department of Health have received a further donation from the Red Cross Children Hospital Trust to enable us to build the oncology and trauma wards at the Hospital. The cost of the wards is R30 million and they are due for completion in 2005. Honourable Speaker, please allow me to take this opportunity to thank the Trust and other organisations, which give of their time and influence to raise funds to assist us in Government to deliver critical social infrastructure.

In the past financial year, R128 million was spent by my Department on the maintenance of 1016 school buildings across the Province. Four new Secondary Schools, three Primary Schools, three forums and 10 prefabricated classrooms were also delivered as an interim measure.

In this financial year construction will commence on ten new schools. The new schools to be built are:

Facilities, which are already under construction are:

Honorable Speaker, I am also happy to announce that Usasazo Secondary School in Khayelitsha will be completed in August this year, and that two hundred mobile classrooms will be delivered in the first half of the financial year.

In order to accelerate the delivery of school infrastructure, my Department intends to complete planning for the construction of new schools and facilitate the processes to ensure that additional funding is secured as the current MTEF budget is insufficient to cater for the demand for new school facilities.

Property Management and General Buildings Infrastructure

In March this year, the Cabinet approved both the Disposal Policy and the White Paper on the Management of the Provincial Property portfolio. The Disposal policy is designed to establish the principles, which should guide our approach to the disposal of Provincial property. It is also designed to bring our approach to disposal of property in line with that of the National Department of Public Works, promote Black Economic Empowerment in this sector, and take into account recommendations we received from the Property Summit we held in November last year. In the new policy, the number of preference points is increased from 20 or 10, which applies to general procurement of services and goods, to 40 points. The guidelines for dealing with disposal of property for social purposes are also clearly laid out.

The White Paper on the Management of Provincial Property, which was approved by Cabinet, was published on April 7, 2004. This White Paper proposes amendments to the Western Cape Land Administration Act, Act 6 of 1998 and its Regulations. We will be approaching the Standing Committee and this House in the course of this year to consider legislation in this regard.

The Provincial Property Portfolio is being updated on a continual basis, because of the vesting of properties in the name of the Province, which is still taking place. Around 2000 properties must still be handled between ourselves and the National Department of Public Works to complete this part of the vesting process.

Mr. Speaker, regarding Motor Vehicle Administration - our main source of revenue - we managed to exceed our revenue target of R610 million from motor vehicle license fees. The actual amount budgeted was exceeded by R28 million. As part of the revenue collection from motor vehicle license fees, we embarked on a very stern project with effect from 1 June 2003 to collect arrear license fees and penalties for non-payment. Up to 31 March 2004 we managed to clear 52 000 motor vehicle records where arrears and penalties were recorded. In the process we managed to reduce the arrear license fee records by 78% to only record an arrear record of 2.26% - the lowest in the entire country. Honorable Speaker this is indeed a remarkable achievement and I want to sincerely thank my staff for their hard work. Arrears to the amount of R42 million were also written-off in those instances where sales or scrapping of old vehicles were involved.

GMT has over time made good progress towards it's goal to become the leader in providing quality, integrated and cost effective motor transport to all provincial and national departments.

Our fleet size is already exceeding the 4 000 mark. GMT has embarked on a drive to improve its service delivery to user departments to enable them to render a better service to the community. The first initiative was the enhancement and improvement of the fleet management system, which serves as its core business tool. The FleetMan system also has a web-enabled version to assist users in the rural areas to manage and control their fleet. Through this system track is kept of all financial transactions and other fleet related information. The user's additional requirements will be addressed further during this year.

Secondly, an electronic method to procure fuel for vehicles (eFuel) was introduced. The main reason behind this was to prevent fraudulent transactions. Since the introduction, indications are that fraud has dropped and savings are filtering through.

Following this, will be the introduction of a sophisticated and advanced tracking and control system for vehicles. The system will supply real time and feature-rich vehicle tracking and status information via SMS-based cellular network and other communication infrastructure. The Provincial Traffic and Medical Emergency Services will be the first to reap the benefits. The system will also compliment the latest disaster management system deployed in the Western Cape.

In August this year, President Thabo Mbeki will be invited to come and help us launch Saamstaan, our Provincial Expanded Public Works Program. About R400 million of the Provincial budget will be spent on the Expanded Public Works Program this Financial Year. My Department plays a dual role in the EPWP. We have our own projects to run, and have to co-ordinate the inputs to the EPWP from other departments and municipalities in the Province.

The objectives of our EPWP in our Province are:

• To create at least 120 000 work opportunities in the Province over the next five years
• Skills development
• Incubation of emerging businesses as part of enterprises development, and
li>Poverty alleviation

The poor, unemployed, women and youth are the targeted groups to benefit from Saamstaan. Work opportunities will be created in:

While the launch of Saamstaan is planned for August, work on a number of projects has already started:

Over and above these projects, my Department has set aside an amount of R10 million to be used to fund projects generated by community members from communities across the Province, as well as Non-Governmental Organizations. These projects will have to address issues of job creation, poverty alleviation and skills development.

Honourable Speaker, I invite the private sector in our Province to play an active role in the implementation of the EPWP. This, it must do as an affirmation of the resolutions of the Growth and Development Summit, in which the private sector was represented. I want to take this opportunity to applaud those organisations, including some of the financial institutions, which have shown the willingness and commitment to working with Government to deliver on the resolutions of the Summit. As we accelerate the implementation of the EPWP, we shall ensure that the laws of the country, especially those that protect the poor and the vulnerable, are observed.

I THANK YOU